Atlanta-based Simmons Bedding's parents, Simmons Co. and Bedding Holdco Inc., and all of its domestic subsidiaries also filed Chapter 11 cases. The filings do not include Simmons' Canadian and Puerto Rican operations.

Under a pre-packaged plan of reorganization, Simmons and its subsidiaries will continue normal operations and the company's senior secured bank lenders, trade vendors, suppliers and employees will be paid in full. The company expects to emerge from Chapter 11 within 60 days.

As it reported in September, Simmons Co. will be sold in a $760 million deal to Ares Management LLC and Teachers’ Private Capital, the private investment arm of the Ontario Teachers’ Pension Plan.

The plan and related transactions will allow the company to substantially reduce its total debt obligations from about $1 billion to about $450 million.

Simmons Bedding has some $50 million cash-on-hand and will continue to be able to satisfy customary obligations associated with its daily operations. Simmons Bedding also landed a $35 million debtor in possession line of credit.